Cloud microphysics budgets in the tropical deep convective regime are analyzed based on a 2-D cloud resolving simulation. The model is forced by the large-scale vertical velocity and zonal wind and large-scale horizontal advections derived from TOGA COARE for a 20-day period. The role of cloud microphysics is first examined by analyzing mass-weighted mean heat budget and column-integrated moisture budget. Hourly budgets show that local changes of mass-weighted mean temperature and column-integrated moisture are mainly determined by the residuals between vertical thermal advection and latent heat of condensation and between vertical moisture advection and condensation respectively. Thus, atmospheric thermodynamics depends on how cloud microphysical processes are parameterized. Cloud microphysics budgets are then analyzed for raining conditions. For cloud-vapor exchange between cloud system and its embedded environment, rainfall and evaporation of raindrop are compensated by the condensation and deposition of supersaturated vapor. Inside the cloud system, the condensation of supersaturated vapor balances conversion from cloud water to raindrop, snow, and graupel through collection and accretion processes. The deposition of supersaturated vapor balances conversion from cloud ice to snow through conversion and riming processes. The conversion and riming of cloud ice and the accretion of cloud water balance conversion from snow to graupel through accretion process. Finally, the collection of cloud water and the melting of graupel increase raindrop to compensate the loss of raindrop due to rainfall and the evaporation of raindrop.